You won't be arrested.

Call the banks you owe money to and explain the situation. They may give you time or alter your account to help you pay back. They do want to be paid and they will understand they cannot expect payment at this moment.

Your credit is going to go down, but that is the least of your concerns. Once you get things sorted out, it will go back up as you are more able to use credit again.

Avoid as much new debt as possible. Never finance anything.

I have applied for government disability, at the urging of my doctors, but they have warned me that it will take months (or years!) to come through.

SSDI requires a year of disability for approval, so it almost always takes at least a year to get approved if everything goes perfectly.

I am panicking and stress makes my illnesses worse.

Relax. Work your creditors and if you can get help from friends and family, let them know what your current situation is and that it can take a little bit before you get things sorted out.

Look at other benefits that you can get more quickly, such as SNAP, Medicaid, and other benefits.